By Kristina Wyatt, Persefoni Deputy General Counsel & Chief Sustainability Officer
SB 253 and SB 261 to Proceed Toward Implementation
What Happened
On August 13, 2025, the U.S. District Court for the Central District of California denied the U.S. Chamber of Commerce and other business groups’ motion for a preliminary injunction in the case challenging SB 253 and SB 261.
The court was not persuaded that plaintiffs would be likely to succeed on their facial First Amendment claims.
What’s Next
Plaintiffs are expected to appeal to the Ninth Circuit Court of Appeals.
Appeal timeline: If filed by mid-September, briefs could wrap up by early 2026, with oral arguments in Spring of 2026 and a decision in Summer or early Fall 2026, before the expected October 2026 trial date in the case.
If the appeal fails: The case will proceed toward trial on the merits in October 2026.
Meanwhile
CARB is working on the implementing regulations with proposed rules expected late in 2025. Both laws remain on track for first reports in 2026. SB 261 requires reporting as of January 1, 2026. CARB will define when in 2026 reports under SB 253 will be due. That means compliance systems, data collection, and assurance processes need to be in place well before the legal battles conclude.
Why It Matters
This ruling doesn’t end the litigation, but it sends a signal that may support the laws’ constitutionality. The laws are proceeding to implementation. For companies, the takeaway is clear: get ready for compliance now.
Related Content: California’s Landmark Climate Disclosure Law Clears Legal Hurdle, Deadlines Locked for 2026
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